Mind of my Stroked Brain

I am a very simple fellow with a very simple mind and thinking. I don't know much about economics, global economics and macro economics. To my very simplistic understanding, inflation is because of 2 things 1. Visible inflation: increasing prices of almost everything constantly. In India, the published inflation is ~ 7%. It is usually because of supply and demand imbalance. (Growing demand for everything and lesser supply of things). 2. Invisible inflation: as the name suggests, we can't easily perceive it. I generally think it is around 4-5% in India. It is caused not because of increasing prices but because of reducing value of the money we have. It is usually called reduction in purchasing power. It is caused by infusion of new money in the economy because of the need for it by banks, by governments etc. If there is more money available then it goes without saying that the value of the money you are holding goes down. Put together I think the real inflation in India is aroun

Disclaimer : I am not an economist, nor do I understand currency macroeconomics. I am sharing this thought anyway. So, if you feel it is stupid, maybe it is! I have been seeing news from many places for a while. Many of the financially oriented channels usually have a ticker running at the bottom which shows market performance of that region, some stock prices of that region and currencies of that region. There is only 1 number for the currencies, ex INR = 8x.xx, AUD = 1.xx, EUR = 1.xx, GBP = 0.xx, so on. One currency nobody publishes is USD. Very simply because it is always 1. Everything else has a rate published only against the US dollar, even though I can realistic convert anything to anything . It is a very accepted thing that USD is the default base currency - because it is in demand the world over. There probably are several reasons why it happened so, it is what it is . The majority of the world want to move away from this (according to various news). Russia is leveraging the s

I was ordering something on Amazon yesterday and I realised... In the last one year, I have spent a lot, received some, made payments/ made transfers, etc. I haven't had to go to a bank. I haven't had to write a cheque. I haven't had to use a credit card I haven't had to use a debit card. I haven't visited an ATM. I haven't touched any currency notes (in fact, I don't even remember how they look) All from the bed - on my phone... Just in case anyone has any doubt about the future of money... It is even more confusing with the advent of crypto currency.. How do we really teach this new next generation, what "money" is...?